(Following up on this morning's post.)
I refigured "real debt" using the formula I figured out some weeks back, which allows for the fact that debt is a stock, not a flow.
Using these corrected debt numbers, this morning's graph now looks like this:
|Graph #1: Inflation-Adjusted Debt relative to Nominal GDP|
I suppose it just shows that prices are higher than they used to be.
// The Google Docs spreadsheet